High ROE & ROI Residential Real Estate Calculator

ROE & ROI Residential Calculator

CPD Framework

Head-to-head cash flow ledger, tax deductibility, amortized loan repricing & exit ROI

Presets:
P1
$
$1,500,000
$
$72,000 / year
%
Annual Rent ÷ Price
Bank Mortgage & Financing Breakdown Standard 2% Benchmark
%
% p.a.
Years
75% Loan Principal $1,125,000
Deposit: $375,000
Yearly Interest (IRAS) $22,500 / yr
Tax-Deductible
Monthly Installment (P+I) $4,158 / mo
Cash Out-of-Pocket
$
$4,800 / yr
Auto BSD $44,600 IRAS Progressive
$
Conveyancing
Total Equity $422,600 Deposit + Tax + Legal
P2
$
$1,500,000
$
$48,000 / year
%
Annual Rent ÷ Price
Bank Mortgage & Financing Breakdown Standard 2% Benchmark
%
% p.a.
Years
75% Loan Principal $1,125,000
Deposit: $375,000
Yearly Interest (IRAS) $22,500 / yr
Tax-Deductible
Monthly Installment (P+I) $4,158 / mo
Cash Out-of-Pocket
$
$6,000 / yr
Auto BSD $44,600 IRAS Progressive
$
Conveyancing
Total Equity $422,600 Deposit + Tax + Legal
Property 1

Property A (4.8%)

Total Equity Invested: $422,600

Return on Equity (ROE) 8.61% $36,390 ÷ $422,600
Monthly Cash Flow Status: +$749.50 / mo (Positive Surplus)
Property 2

Property B (3.2%)

Total Equity Invested: $422,600

Return on Equity (ROE) 3.59% $15,160 ÷ $422,600
Monthly Cash Flow Status: -$1,019.67 / mo (Negative Top-Up)
Property 1 Detailed Ledger

Property A (4.8% Gross Yield)

Equity: $422,600
No. Less Expenses Per Year Per Month
Gross Rental Income $72,000 $6,000
1. Property Tax (IRAS Non-Owner) -$5,040 -$420
2. Maintenance Fees -$4,800 -$400
3. Agent Fees (½ mo + 9% GST) -$3,270 -$272.50
4. Mortgage Interest (2% on Loan) IRAS Tax Deductible (Not cash out-of-pocket) -$22,500 NA
5. Monthly Installment (Principal + Interest) Bank amortized installment out-of-pocket NA -$4,158
Total Expenses -$35,610 -$5,250.50
Net Rental Returns / Net Cash Flow $36,390 +$749.50
RETURN ON EQUITY (ROE)
Property 2 Detailed Ledger

Property B (3.2% Gross Yield)

Equity: $422,600
No. Less Expenses Per Year Per Month
Gross Rental Income $48,000 $4,000
1. Property Tax (IRAS Non-Owner) -$3,360 -$280
2. Maintenance Fees -$6,000 -$500
3. Agent Fees (½ mo + 9% GST) -$2,180 -$181.67
4. Mortgage Interest (2% on Loan) IRAS Tax Deductible (Not cash out-of-pocket) -$22,500 NA
5. Monthly Installment (Principal + Interest) Bank amortized installment out-of-pocket NA -$4,158
Total Expenses -$32,840 -$5,019.67
Net Rental Returns / Net Cash Flow $15,160 -$1,019.67
RETURN ON EQUITY (ROE)